This
site is designed for Internet Explorer and Netscape Navigator versions
4 and above and a screen resolution of at least 800x600
|
|
|
Mateco, tea authority to merge
By
Thom Khanje - 12-06-2002 |
|
|
Malawi Tea Company Limited (Mateco) and the Smallholder Tea Authority (STA) would soon merge as part of the privatisation process.
Privatisation Commission (PC) executive director Maziko Sauti-Phiri said the commission already approved the merger on recommendation from a consultant and that shares in the merger would be sold to tea growers.
He said two options were considered by stakeholders for the privatisation of the merged tea company, including outright sale of the company as a going concern to a successful bidder and a grower’s and employee buy-out.
Said Sauti-Phiri: “The general consensus among stakeholders was that the shares in Mateco be sold to growers and employees with a possibility of the general public acquiring surplus shares.”
Meanwhile, Mateco’s board of directors has already advertised a vacancy for the post of general manager in the merger.
Reads the advert: “The company is currently being restructured to merge the operations of Smallholder Tea Authority and Mateco.”
The Mateco board says the new restructured company’s primary functions will include manufacture of tea, provision of management services to smallholder growers, marketing of green leaf by growers, transportation of green leaf from farmers, provision of extension services and procurement of inputs for smallholder tea growers.
The Smallholder Tea Authority was owned by government while Mateco was owned 60 percent by STA and 40 percent by Admarc.
Sauti-Phiri said the merged company would be owned 60 percent by government and 40 percent by Admarc and that proceeds of the shares sold would accrue to the two shareholders.
Established in 1968, STA was set up to promote the growing of tea by smallholder farmers in Mulanje, Thyolo and Nkhata Bay districts.
Its responsibilities include buying and transportation of green leaf to the factory, provision of extension services, maintenance of infrastructure, provision of credit and processing and manufacturing of tea through Mateco. |
|
|
|
|
|
